Tata Sons, the unlisted holding company of the Rs 4.6-lakh-crore Tata Group, in a filing to the registrar of companies, said its net profit for 2011-12 fell to Rs 3,146 crore from Rs 3,246 crore a year ago. Total revenue also dropped to Rs 4,726 crore last financial year from Rs 4,857 crore the year before.
The company’s earnings are primarily from dividend received from group companies and capital gains from sale of shares. The Shapoorji Pallonji group, represented by Shapoor Mistry, is the largest shareholder in Tata Sons, with an 18.4 per cent stake.
Shapoor Mistry’s younger brother, Cyrus Mistry, is the deputy chairman of Tata Sons and designated successor of Chairman Ratan Tata, who will retire next month. Cyrus Mistry’s sister, Aloo, is married to Ratan Tata’s half-brother Noel Tata.
Tata Sons has a 73.7 per cent stake in India’s most valued company, Tata Consultancy Services (TCS), which had market capitalisation of Rs 2.61 trillion at the close on Monday. Besides, it is the primary stake holder in companies such as Tata Steel, Tata Motors and Tata Chemicals.
According to the bulk deal data available with the Bombay Stock Exchange and National Stock Exchange, Tata Sons consolidated its holding in listed group companies in 2011-12, when valuations were low due to depressed market sentiments.
| TATA SONS BULK DEALS IN LISTED GROUP FIRMS | |||||
| Date | Scrip Name | Type | Quantity | Price | Amt in Rs cr |
| May 10, 2011 | Tata Motors-DVR | Sell | 600,000 | 682.38 | 40.94 |
| 10-May | Tata Motors-DVR | Sell | 1,700,000 | 680.45 | 115.68 |
| 30-May | Indian Hotels | Buy | 2,700,000 | 78.9 | 21.3 |
| 31-May | Tata Chemicals | Buy | 4,200,000 | 372.45 | 156.43 |
| 5-Sep | Tata Motors | Buy | 331,000 | 750 | 24.83 |
| 5-Sep | Tata Steel | Buy | 510,000 | 483.5 | 24.66 |
| 18-Nov | Tata Steel | Buy | 1,250,000 | 400 | 50 |
| Feb 21, 2012 | Tata Global | Buy | 982,500 | 119.2 | 11.71 |
| 3-Mar | Titan Inds | Buy | 1,381,051 | 229.5 | 31.7 |
| 3-Mar | Tata Motors | Buy | 1,580,605 | 267.65 | 42.3 |
| 3-Mar | Tata Motors | Buy | 363,045 | 267.65 | 9.72 |
| 3-Mar | Tata Steel | Buy | 671,455 | 465.9 | 31.28 |
| In 2012-13 | |||||
| Sep 26, 2012 | Indian Hotels | Buy | 4630564 | 62.3 | 28.85 |
| Source:Capitaline Data compiled by BS Research Bureau | |||||
The company sold 2.3 million differential voting rights (DVR) shares in Tata Motors, having one-tenth voting rights to regular shares, for Rs 156 crore. And then, it consolidated its holding after buying 2.27 million regular shares for Rs 76.85 crore.
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Besides, it increased its holding in The Indian Hotels Co Ltd by buying 2.7 million shares for Rs 21.3 crore in 2011-12. The company continues to increase its holding in Indian Hotels as it bought additional 4.6 million shares for Rs 28.8 crore in the current financial year.
The holding company also increased its stake in Tata Chemicals by buying 4.2 million shares for Rs 156 crore and Tata Steel by purchasing 2.4 million shares for Rs 105.9 crore in 2011-12.
Tata Sons does not discuss its results with the media as it is a private company.